Archive for nigeriang

Climate change as threat to Nigeria’s corporate existence

Climate change as threat to Nigeria’s corporate existence

Due to the
regular conflicts that occur between Fulani herdsmen and farmers in the
Gwagwada district of Chikun local government area of Kaduna State, a
conflict resolution committee has now been set up in the council.

The conflicts
usually arise over ownership of land between migrant herdsmen and
indigenous farmers, with cattle invading farms and destroying crops; or
cattle drinking from streams where humans drink. According to Habila
Kaura Jatau, who is a farmer and the chief of Dutse, a village in the
district, some portions of land far from the farms were initially
allocated to the herdsmen, but due to climate change, pasture has dried
up in that area and herdsmen are now occupying the same area with the
farmers.

“Before, they
gave the cattle rearers land far from the farmers, but with this change
in weather, we are now mixed up. What they do sometimes is that after
harvest, they rush down to where they can get feed for their cows. And
since we are mixed together, in the rainy season, and the lack of food
for the cattle, it would cause problem one way or the other between
farmers and cattle rearers in that when they come to somebody’s farm,
dispute will arise. We are already facing our own problem, because now
it is very hard to produce anything without fertiliser, and you now
come and destroy the crops, there will be problem,” he said.

Jamilu Sani, a
Fulani herdsman in the community, said they have been migrating
southwards over the years, basically looking for greener pasture for
their cows.

“We have some
problems because the cows do not have enough food to eat, so we have to
travel far to where we can find food for them,” he said.

According to Mr.
Jatau, such disputes are first taken to the village head, then to the
district head, then to the local council, with the owner of the
straying cattle usually asked to pay a monetary compensation to the
farmer whose crop was destroyed.

“But even if the
conflicts are resolved without violence, there will always be conflicts
because we are still together and since places are developing, it is
difficult to find bush where the cattle rearers can stay on their own,”
Mr. Jatau said.

Moving South

According to
Yahaya Ahmed, the chairman of the Developmental Association for
Renewable Energies, DARE, it has been discovered that about 200
villages have disappeared in the top northern Nigeria due to
desertification.

This was found
during their survey to substantiate their claim of adverse conditions
in the Sahel region of northern Nigeria, due to deforestation and
desertification for the approval of their Clean Development Mechanism
CDM project by the United Nations Framework Convention on Climate
Change, UNFCCC. The project is distributing Save80 stove, a wood stove
which cooks food for about 50 people using just one kilogramme of wood
[dry sticks] as well as solar cookers. The Save80 stove is aid to be
saving 80 percent of trees in these regions.

“Since we could
not get any useful information from the government, we decided to do
the survey ourselves. So we started talking to migrants around Kaduna
and Abuja; we discovered that about three-quarter of them had migrated
from Yobe. That’s why we chose Yobe as our baseline.

“While we
interacted with the people there, we discovered that about 200 villages
have migrated from an area between a place called Dapchi, north of
Damaturu, to the northern border of Nigeria with Niger Republic. The
Sahara desert had taken over their villages and they had to migrate to
different parts of the country, including Lagos,” Mr. Ahmed said.

These migrations
do not happen only from northern Nigeria; some of the migrants also
come from Niger Republic. According to Mr. Ahmed, it happens mostly in
the dry season when many of the youth in the rural areas are idle.

They move into
cities southwards and take up jobs as cobblers, Okada riders
(commercial motorcyclists), and water vendors. They arrive cities like
Lagos on trucks bringing beans, tomatoes, onions, and cows. Some return
to the north to farm during rainy season, some don’t.

Decrease in farm yield

Adamu Tanko, an
associate professor of geography and agricultural development and the
head of Geography Department, Ado Bayero University, Kano, has been
conducting a research on Climate Change and Adaptation, sponsored by
Heinrich Boll Foundation, through Tubali, a non-profit organisation
focused on rural development.

In Cifatake, a
village in Kaduna State, he discovered a gradual decrease in the amount
of rainfall from 1000-1200mm about 50 years ago to 884-1000mm in recent
times. He also noted that rainy season now starts late April and ends
early November, as against March to end of November that it used to be
some years ago. Coupled with tree-felling for firewood, the vegetation
cover is gone and erosion has set in, said Mr. Tanko, resulting in low
yield. So, the people are taking up other professions as hunters and
blacksmiths.

Climate change is to blame

This situation
across northern Nigeria, which is linked to global warming and climate
change, is putting a lot of pressure on the land in the middle-belt
within the Guinea Savannah. This, according to some organisations
studying the “ethno-religious” conflicts that have led to the death of
hundreds of people in Jos and Kaduna, is the root of the conflicts.

“The conflicts
that people say are religious are not. Ethnicity and religion are just
the triggers because they are the major sources of identity for most
Nigerians. The key issue is fight for economic and political control.
Jos became a city where a lot people came because of the tin mining and
the serene environment until it was divided into different zones then
we started hearing of ‘indigenes’ and ‘settlers’ and the tussle began”
said Sani Suleiman, programme manager, Emergency Relief and Peace
Building, Justice Development and Peace Commission, JDPC, Jos.

Nnimmo Bassey,
the executive director of the Environmental Rights Action/Friends of
the Earth Nigeria (ERA/FoEN), who was named winner of the Right
Livelihood Award (also known as the Alternative Nobel Prize) in 2009,
raised more alarm. He said Nigeria is not only threatened by the Sahara
desert, with increasing temperature due to global warming, the country
will lose coastal lands due to sea rise and hinterlands from gully
erosion in the southeast.

Economic survival

“The violence in
the middle-belt, particularly in Jos area, is not just an ethnic thing;
it’s not people struggling for political posts; it has an environmental
root. Because more pastoralists are going to come down from the North,
the more the desert spreads and Lake Chad dries up.

“They have to
look for good grazing land; fishermen are going to look for somewhere
else to fish. And the more the Niger-Delta environment gets polluted,
we will begin a system of eternal displacement from the South and also
from the North. And the displaced people will migrate and they going to
meet at the Middle-belt. Imagine if the southern part goes under water,
more people will be naturally displaced.

“So, the violence we are seeing in the Middle-belt is a foretaste of what our children are going to face,” he said.

Mr. Bassey said
one of the first steps in handling this environmental challenge is to
stop gas flaring in the Niger-Delta, which is one of Africa’s biggest
contribution to global warming.

Just as the
desertification in the North, coastal erosion is gaining ground along
the 853km Nigerian coastline. Properties along the coast like Goshen
Beach Estate, Lekki, Lagos, are now being threatened.

Larry Awosika,
the head of the Marine Geology and Geophysics Division of the Nigerian
Institute for Oceanography and Marine Research, NIOMR, said the sea was
over 100 metres away when the estate was built in 2003. Now it is less
than 20 metres away and the deep drain that was built to channel waste
into the ocean is now completely filled with sand.

He said the regular ship wrecks that lie perpendicular to the sea shore accelerate the coastal erosion.

“The littoral
drift, that is the movement of sediments in the near-shore, is usually
from west to east. So these ship wrecks act as groins. On one side,
there is deposition of sediments; while on the other side, there is
rapid erosion,” he said.

Apart from the
coastal erosion, experts say the recent flooding in various parts of
the country, especially in the Lagos region, is a result of the
ecological imbalance caused by climate change.

Climatic predictions

Victor Fodeke,
head, Special Climate Change Unit, Federal Ministry of Environment,
said climate change could exacerbate tension between and within
countries, leading to politics of insecurity, as countries focus on
protecting themselves from impacts.

The
Inter-governmental Panel on Climate Change, IPCC, predicts that between
75 and 250 million people in Africa will be affected by flooding in
2020, which will result in the destruction of traditional living
environments, more limited access to clean water, decreasing food
production from farms, forests, and aquaculture; and threats to food
security.

Recent history in
Nigeria points to the fact that if this prediction and other climate
change predictions come through, more serious conflicts will most
likely generate from the Middle Belt region than can be handled by the
type of conflict resolution committee that currently exists in Chikun
Council.

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Senate president expresses support for state creation

Senate president expresses support for state creation

The Senate president, David Mark, has expressed support for the
creation of additional states in the country.

Mr. Mark, while speaking to airport reporters at the
presidential wing of the Murtala Muhammed Airport (MMA), Lagos, on his way to
Abuja, after the conferment of a chieftaincy title on him from Egbaland in
Abeokuta, Ogun State, disclosed that the creation of more states enhances
proximity between the leaders and the led.

“I think truly that the agitation for state creation is an
agitation to bring governance nearer to the people. That is what it means in
effect,” he said at the weekend.

“Could you have imagined what the situation could have been if
Lagos was not created out of the old Western Region, or if we didn’t have more
states in Nigeria?” He asked.

Admitting that there are states in the country that are not as
productive compared to some others, the Senator said that the need for more
states outweighs arguments of a particular state’s viability.

“I know the argument is there are states now that don’t appear
viable, but that itself is not enough argument to stop the agitation for state
creation,” he said.

The public will decide
number

On the number of additional states to be created, Mr. Mark
disclosed that Nigerians will decide on the number of states required for the
country, adding that an open dialogue on the issue will be conducted.

“It is the will of the people. You know, we are going to subject
this to public discussion and at the end of it, we will gather opinion and see
where the preponderance of the opinion swings to,” he said.

Mr. Mark, however, disclosed that the media, the general public,
and the National Assembly have a role to play in the creation for additional
states.

“It depends on you; for the media has a critical role to play.
The public and parliamentarian have a role to play. We all have something at
stake and if we play our part, everything will be alright,” he said.

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Attorney General in kingship tussle

Attorney General in kingship tussle

Imo State Attorney General, Ken Njemanze, appears to have been caught in the middle of a dispute over a traditional throne. He is alleged to have used his position as the state’s Attorney General to influence the judgement of the Court of Appeal sitting in Owerri over the dispute in which he is considered an active participant.

A group known as Imo State Concerned Citizens Abroad based in Slovakia sent a petition dated July 19, 2010 to the National Judicial Council (NJC) accusing the Mr. Njemanze of colluding with Mojeed Owoade, a Justice of the Court of Appeal, Owerri, to fraudulently subvert an earlier judgement of an Imo State High Court, Orlu, over the matter between the state (plaintiff) and Cyracus Amaechi Mkpado (accused).

Another group, the Concerned Citizens of Orlu based in California, United States of America, also petitioned the NJC on the same matter calling on the body to investigate Mr. Njemanze, Mr. Owoade and another justice of the Appeal Court in Owerri, Helen Ogunwumiju, for what it termed “their roles in this travesty of justice”.

Attempted murder

Cyracus Mkpado was charged by the state for attempting to kill one Chima Mkpado by shooting him during a marriage ceremony on December 31, 1991. The shooting was believed to have been precipitated by their quarrel over the kingship stool of Umuzike autonomous community in Orlu local governemnt area, which Cyracus Mkpado was occupying then.

When the case came up for hearing at an Imo State High Court, Orlu, Mr. Njemanze was part of the legal team representing Cyracus Mkpado. On February 22, 2007 Benjamin Njemanze, the presiding judge, passed a guilty verdict on the accused. Ken Njemanze entered a plea of leniency on behalf of his client on the ground that he was a first offender. The judge subsequently sentenced him to five years imprisonment with the option of N500,000.00 fine, which was promptly paid in full by the accused.

Following the verdict of the High Court, Cyracus Mkpado was stripped of his position as the king of Umuzike and his opponent, Chima Mkpado, appointed as the king-elect of the community.

Controversial appeal

However, after the payment of the fine, Mr. Njemanze on behalf of his client, filed an appeal contesting the judgement of the lower court. However, before the conclusion of the appeal Mr. Njemanze was appointed the attorney general of the state. He, however, through his law firm reportedly continued to act as the counsel to the appellant despite being the chief legal officer of the state.

Trouble came when the Court of Appeal sitting in Owerri upturned the decision of the lower court. The verdict of the appellate court led to a situation where the two parties resumed their claim to the throne.

Supporters of Chima Mkpado claimed that the proceeding at the Appeal Court was rigged. They accused Mr. Njemanze of abuse of office. According to them, he colluded with Mr. Owoade and Mrs. Ogunwumiju to subvert the true course of justice.

“The Attorney General, Barrister Ken Njemanze’s stand in this matter shows a conflict of interest and is apparent that he is still operating as the accused council rather than in the interest of the Imo State as the current Attorney General and Commissioner for Justice in Imo State.”

Conflict of interest

This situation was described as an “infamous conduct” by Jiti Ogunye, a Lagos-based lawyer, as it places the attorney general in the compromising position of being the counsel to both the appellant and the respondent. According to Mr. Ogunye, it is clear from the conduct of the attorney general that he “deliberately wanted to sabotage the administration of justice”.

However, Mr. Ogunye berated Chima Mkpado for not acting as at when due.

“The person that is crying foul now has every right at the Court of Appeal to file an application challenging the decision of the attorney general as the counsel to the appellant asking the court to disqualify the attorney general’s chambers from appearing because of conflict of interest.”

Another Lagos-based lawyer, Charles Musa, said as much as the action of Mr. Njemanze may not be strictly illegal, it is not ideal.

“It is not neat”, he said. “There may be conflict of interest. It would have been better if he was not involved; his chambers should not have touched the case.”

However, he said that sometimes it may not be practical to ask a lawyer to hands off all cases involving the government.

“Once he leaves his chamber to become the attorney general he may want to argue that he is no more the lawyer handling it. He has resigned from the chamber and he cannot close the chamber because he becomes attorney general.”

According to Mr. Musa the allegation that the attorney general influenced the decision of the court of appeal to his favour is far-fetched.

“To say that he influenced the Court of Appeal, No, unless there is prove”.

In a telephone interview with NEXT, Mr. Njemanze completely denied having anything thing to do with the decision of the Court of Appeal.

“I have nothing to do with the case,” he said. “It is ridiculous for them to accuse me of influencing the court of appeal. I have no interest whatsoever with the case, I’m not from Orlu; I’m from Owerri. So what is in it for me? I have resigned from my former chamber and I have nothing to do with their work there. It is a busy place with senior lawyers, so why will I want to get involved in their operations?”

Mr. Njemanze also promised to make available all documents relating to the case to show that his hands are clean.

Meanwhile, in a letter dated August 4, 2010 and signed by the Chief Justice of Nigeria, Aloysius Katsina-Alu, the NJC, while referring to the petition sent by Imo State Concern Citizens, gave the judges two weeks to respond to the accusation levelled against them.

Efforts made by NEXT to know the present status of the case has not yielded any result, as the commission had not responded to our enquiry before we went to press.

GLANCE BOX:

1. December 31, 1991: Cyracus Mkpado was accused of attempting to kill Chima Mkpado with a gun during a traditional marriage ceremony at Umuowa, Orlu.

2. February 22, 2007: An Orlu High Court, Imo State found Cyracus Mkpado guilty as charged of attempted murder and sentenced him to 5 years imprisonment with an option of N500,000.00 fine.

3. March 5, 2007: Cyracus Mpkado appealed the judgement of the Orlu High Court

4. June 25,2010: The Court of Appeal sitting in Owerri upturned the verdict of the High Court and acquitted Cyracus Mkpado of attempted murder.

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Operators warn against another banking crisis

Operators warn against another banking crisis

While
the financial market awaits the issuance of the first series of bonds
by the Asset Management Corporation of Nigeria (AMCON), the focus is on
how the banking industry will fare after the bad debts are taken off
their books. Financial market operators spoke of a situation where the
regulators still need to keep close watch on the market in order to
prevent a reoccurrence.

The
target date of the first AMCON bond issuance is December 31 or shortly
thereafter, with a N500mn issuance in the first instance.Mike Itegboje,
president of the Chartered Institute of Stockbrokers said the
establishment of AMCON is not a guaranty that a similar crisis will not
beset the banking sector in future. “Let us move forward in this
direction so that it doesn’t happen again,” Mr. Itegboje said.

“Whatever
the CBN (Central Bank of Nigeria) is doing, there is no way we will say
it can never happen again. Some of the banks that were liquidated some
years ago, what lessons have we learnt from them.” He said there may be
need to set up a panel of enquiry in order to know the involvement of
individuals in the banking crisis in order to guard against a
reoccurrence in future. “I pray whatever panel that is set up will not
end up like Oputa Panel report.” He said with the lending and borrowing
aspect of the bad debt management function of AMCON, there is optimism
that the firm will do well.

Non-performing loans

AMCON management last week met with bankers and stockbrokers on the way
to address the current credit crunch in the economy. By the arrangement
reached by the parties, banks are under obligation to hand over non
performing loans (NPL) above five percent of their total loan portfolio
to AMCON. Also, NPL acquired by AMCON, including the contentious margin
facilities from the stock market, on which there are misunderstandings
will be resolved on individual basis. AMCON will also accept unquoted
shares which are products of private placements that have yet to be
listed on the floor of the Nigerian Stock exchange.

Mustafa
Chike-Obi, managing director of AMCON said recently that the
corporation expects to buy up to N2.5 trillion bad loans from eligible
financial institutions and the pricing of the loans will be driven by
the value of the underlying collateral. Mr. Chike-Obi said AMCON will
engage every borrower of an acquired bad loan with the intention of
properly managing the assets and this involves re-performing,
restructuring, forbearance, forgiveness and other resolution options.

Sonnie
Ayere, chief executive officer of Dunn Loren Merrifield, a Lagos based
investment firm, said there is need to build capacity in the industry
in order for ensure that banks play financial intermediation role in
the economy. He said taking the burden off the banks will not
necessarily ensure good management by the banks.

On the effect on the stock market, Victor Ogiemwonyi, managing
director of Partnership Investment, a financial services firm, said
AMCON will be a boost to the market. “The 60 per cent premium for stock
market portfolios that AMCON is offering will be priced into the market
in the coming weeks. AMCON’s intervention will relieve the economy of
debt overhand that is slowing down the market.”

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The way to rebrand Nigeria

The way to rebrand Nigeria

Dora Akunyili is
one woman I admire because she is a Nigerian who wants good things for
her country. Mrs. Akunyili deserves commendation for her efforts aimed
at reinforcing our hope in Nigeria.

The rebranding
campaign actually started from her days in NAFDAC, where she proved how
we could properly project and sustain positive perception. The recent
induction of fellows by the Advertising Practitioners Council of
Nigeria (APCON), where she was inducted as an honorary Fellow, provided
another opportunity for Akunyili to reaffirm the message that we need
to celebrate good things coming from Nigeria to the outside world. At
the event, she spoke with tremendous passion and zeal about the
rebranding campaign.

However, the
rebranding Nigeria project is one that calls for continuous
improvement, review, and appraisal. The project is aimed at
repositioning Nigeria’s image and project the country as a good nation
to the world. It is a laudable endeavour, even though at inception,
some Nigerians described it as another “white elephant project”, and
this opinion cannot be discountenanced totally.

A rebranding
campaign is aimed at creating a new name for an established brand to
develop a different image or perception in the minds of supporters and
competitors. In this case, Nigeria is the brand that needs to be
projected differently on our minds and the rest of the world. The key
question is, “Has Nigeria been positioned differently in our minds as
Nigerians?”

The rebranding and
positioning of Nigeria must start from the top. Our leaders ought to be
thoroughly immersed in the rebranding project to achieve meaningful
success. How many of our leaders are credible enough to lead the
rebranding campaign overseas? While some Nigerians engage in fraudulent
acts abroad, our leaders engage in corrupt acts at home. This is a
perception that foreign countries have about us that several rebranding
campaigns cannot wish away.

The re-branding
project should aim at communicating a new message for the country. What
is that single message that is being communicated by our leaders? The
total focus of the rebranding campaign has been on the external
publics. The campaign should beam a searchlight on all of us as
internal stakeholders.

When our leaders
make conscious efforts to re-brand themselves and desist from their
negative ways, the outside world will definitely see us as “light”
amidst the darkness.

Leaders must show the way

There should be an
immersion process for our leaders. This will definitely open their eyes
to perceive their negative tendencies, which cast aspersion on the
country’s image. Leaders at all levels should be an integral part of
the re-branding campaign for it to succeed. If not, the re-branding
project would amount to futility. This is because leaders who engage in
corruption and unleash violence on political opponents cannot be seen
to embrace the re-branding campaign.

Why would you blame
the foreign media which only project “our negative image” at all times?
I have lost count of political killings in a south-south state in the
last three weeks, while an orgy of violence reigns supreme in another
south-west state.

All these, to a
large extent, show that we do not have leaders who are ready to change
from their evil and negative ways. There should be a holistic approach
to develop a new thinking and a new spirit in leadership, which will
cascade down to followership. It is only when the leadership is serious
minded about the re-branding project that it can translate to
meaningful results.

Beyond leadership,
there should be a significant focus on the generality of Nigerians. For
the re-branding campaign to be successful, there should be a
re-orientation and perception change amongst Nigerians.

The first
perspective is to make Nigerians believe in their country and also have
positive attitude towards the country. This is because poor road
network, epileptic power supply, poor health service, corruption, and
strikes in all sectors of the economy, are now the daily battles we
contend with.

With all these
myriad of problems bedeviling the nation, how and why should an average
Nigerian believe in the re-branding campaign? Nigerians need to be
re-assured, convinced, and motivated to believe in the Fatherland.

The other
perspective is for Nigerians to also reinforce their faith in the
country. We all need to have a positive mindset about the country.
Nigerians need to believe that “we shall overcome someday, and there
shall be light at the end of the tunnel.”

We all need to
rebrand the way we speak, act, and do things, which will ultimately
take the rebranding project to another level. Nigerians should believe
in the country and her potentials to rise from the woods.

The re-branding
campaign goes beyond sloganeering. It is indeed true that we are “Good
people, a great nation” But what values do we internalise as a people?
We need to feel good about the country. The campaign should be one that
affects our psyche as a people. The re-branding campaign should
resonate for us more as internal people before the external publics can
buy into it.

Our values and
belief system need to be changed, and there should be a positive
mindset by all. I believe everyone should look inwards and ask “How can
I rebrand myself? How do I change my thinking? How do I change my ways
and internalise good values? It is only then we can reach out to the
outside world.

Ayopo, a
communication strategist and public relations practitioner, is the CEO
of Shortlist Limited shortlistedprspecialists@gmail.com

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Namibia central bank sees benign 2011 inflation

Namibia central bank sees benign 2011 inflation

Falling inflation
in Namibia has cushioned the southwest African nation’s exports from
the effect of a strong currency, central bank governor, Ipumbu Shiimi,
said on Thursday.

Mr. Shiimi also
told Reuters he expected “no dramatic increase” next year in annual
inflation, which stood at a five-year low of 3.9 percent in October,
despite the expected food and oil prices.

“Because of the benign inflationary environment, the relative rise in export prices is limited to 1 to 6 percent,” he said.

“Exports did suffer, but not in the region of a 30 percent drop that
could be expected on the basis of the exchange rate. We are a bit
worried, but it is not a life and death situation,” he added.

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Ethiopia to introduce one-year Treasury Bills

Ethiopia to introduce one-year Treasury Bills

Ethiopia plans to
introduce one-year Treasury Bills and hold weekly auctions by December,
a government letter to the International Monetary Fund said.

“We are working to
refine our liquidity management capability, including through a move to
weekly T-bill auctions and introduction of one-year T-bills,” said the
letter by the finance minister, Sufian Ahmed, and governor of the
National Bank of Ethiopia, Teklewold Atnafu.

The central bank
issues Treasury Bills sporadically. It recently invited tenders for
28-day bills worth 910 million birr, with a maturity date of December
15, 2010.

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Ghana budget to boost cocoa crop

Ghana budget to boost cocoa crop

Ghana plans to
spend 140.5 million cedis to boost cocoa fertilisation next year, among
other measures to achieve an output target of 1 million tonnes by 2012,
the government said on Thursday.

Ghana, the world’s
No. 2 cocoa grower, hopes to raise output from the 700,000 tonnes
projected for the current season by a series of measures, including
extending the use of fertiliser and improving working conditions for
sector personnel.

“An amount of 140.5
million cedis has been set aside for the cocoa hi-tech programme, which
will ensure that appropriate cocoa fertilisers are available at the
right time for use by farmers,” finance minister, Kwabena Duffuor, told
parliament in the 2011 budget speech.

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Consumer price index rises

Consumer price index rises

Nigeria’s Composite
Consumer Price Index (CPI) rose by 13.4 percent year-on-year in
October, according to the monthly price statistics report just released
by the National Bureau of Statistics.

“This is slightly
lower than 13.6 percent recorded in the previous month in the new CPI
series. The monthly change of the CPI was 0.3 percent increase when
compared with September 2010,” the report dated 16 November stated.

A Consumer Price
Index is expected to measure changes over time in the price level of
goods and services, purchased especially by households. The annual
percentage change in a CPI is usually used as a measure of inflation.

The nation’s bureau
said the urban all items monthly index rose by 0.5 percent, while the
corresponding rural index recorded 0.1 percent increase when compared
with the preceding month; and that the year-on-year average consumer
price level, as at October 2010, for urban and rural dwellers, rose by
11.5 and 15.0 percent respectively.

Food Index

The bureau said
average monthly food prices remained stable in October, when compared
with September, adding that the level of the Composite Food Index was
higher than the corresponding level a year ago by 14.1 percent.

“The average annual
rate of rise of the index was 14.9 percent for the twelve-month period,
ending October 2010. The marginal fall in the index was caused mainly
by slight decrease in the prices of some food items like yam, potatoes,
and other tubers, due to the harvest season,” the National Bureau of
Statistics said.

Lydia Olushola, an
economist and consultant at Skytrend Nig. Ltd., said for the everyday
consumer, a rise in CPI means prices of goods go up.

“The problem is
when their average wages do not increase in accordance with the CPI,
that is, if the CPI rises faster than people’s average wages, then the
consumers’ purchasing power declines. They can’t buy as much as
whatever it is they usually bought,” Ms. Olushola said.

Experts say
inflation effects on an economy can be positive or negative, as the
case may be. Inflation rates in Nigeria have peaked as high as 15.6 and
as low as 11.6 between October 2009 and October 2010.

Bismarck Rewane,
managing director, Financial Derivatives Company, a finance firm, said
“Inflation on items less farm produce increased from 1.3 percent to
12.8 in September, though that of food decreased by 1.1 percent to 14
percent, from 15.1 per cent and 11.3 percent in July respectively.
Presently, inflation is running at 13.6 percent. The current inflation
record is weak, due to fiscal spending,” adding that inflationary
pressures are likely to persist in November.

The Central Bank
said inflation depicts an economic situation where there is a general
rise in the prices of goods and services, continuously. It could be
defined as “a continuing rise in prices, as measured by an index, such
as the Consumer Price Index (CPI) or by the implicit price deflator for
Gross National Product (GNP).”

The bank said price
stability does not connote constant (or unchanging) price level, but it
simply means that the rate of change of the general price level is such
that economic agents do not worry about it. Inflationary conditions
imply that the general price level keeps increasing over time.

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UK to launch Asian, African low-carbon energy funds

UK to launch Asian, African low-carbon energy funds

The UK government
will launch two new public-private partnership funds to promote
generation of renewable energy in Africa and Asia next year, the
secretary of state for international development said on Thursday.

The funds will target low-carbon energy and related investments in Asia, and large-scale renewable energy projects in Africa.

“We hope to launch these partnerships next year,” Andrew Mitchell said at a briefing in London.

A spokesman for the
UK’s department for international development said it was looking at
ways the funds could be financed, and could not put a value on them yet
or identify the potential private sector partners.

Early modelling of
the Asian fund suggests that it could bring 9 pounds of private sector
investment for every pound committed by the government.

Over the next 25
years, the project could generate up to 5 gigawatts of renewable energy
and avoid 150 million tonnes of carbon dioxide emissions.

The African fund
could generate up to 500 megawatts of new renewable energy per year
from 2015, providing enough electricity for over four million
households.

The government will
also launch a new advocacy fund to help the poorest nations get heard
in international climate change and trade negotiations.

“This fund will
provide access to legal, technical, and logistical support to the
poorest and most vulnerable countries (…) whose full participation is
essential if we are to achieve an equitable deal,” Mr. Mitchell said,
referring to a global agreement on climate change.

Finance

In its spending
review in October, Britain said it would provide 2.9 billion pounds of
international climate finance to 2015. This will partly fund a 1.5
billion pound pledge of fast-start finance from 2010 to 2012.

At last year’s
Copenhagen climate summit, rich countries pledged $30 billion of “fast
start finance” to help poorer countries adapt to climate change and
reduce their greenhouse gas emissions during 2010-2012.

Although European
governments have fulfilled a promise to deliver 2.2 billion euros to
help developing countries tackle climate change, critics have said the
money might have come from rebranding existing aid pledges.

“We promised to
report openly on our fast-start commitments. The UK aid transparency
guarantee was testament to our commitment to be open and transparent
and we are abiding by that promise,” Mr. Mitchell said in response to
such criticism.

“(Our climate
finance pledge) gives us the credibility to press other donors to meet
their commitments and press for an agreement on new and innovative
sources of climate finance,” he added.

Climate finance has
been a contentious issue since the Copenhagen Accord last year.
Developing countries say funds to help them are not enough, while
developed countries struggle to allocate aid in the wake of an economic
downturn.

A U.N. summit in
Cancun, Mexico, from November29-December10, will be trying to find ways
to leverage finance and stimulate investment in low-carbon technologies.

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